Financial Ratios

Evaluates revenues and output generated by the Microsoft Corp.’s assets. Operating performance ratios describe the relationship between the Microsoft Corp.’s level of operations and the assets needed to sustain operating activities.

Relative Valuation

Relative valuation technique determine the value of Microsoft Corp. by comparing it to similar entities (like industry or sector) on the basis of several relative ratios that compare its stock price to relevant variables that affect the stock’s value, such as earnings, book value, and sales.